North Carolina Down Payment Assistance Systems

Online Payments - These programs are the Down Payment Assistance Program and the Mortgage Credit Certificate.

Also you buy a house between December 1, 2009 and January 1, 2009 and if you meet the requirements for one of the plans, you might also qualify for the $8,000 tax credit merely enacted into law.

First, who's a first-time Home Buyer? A first-time Home Buyer is someone who has not owned a house within the past three years. It is exactly the same qualifying definition for the $8,000 tax credit.

A Mortgage Credit Certificate (MCC) is a national tax credit to assist home buyers with low and average incomes. All home owners can claim an itemized deduction. The MCC takes this a step farther.

You'll be able to claim 20% of the interest you pay as a credit on your own federal income taxes, if you are eligible for the MCC. It is possible to save around .

You'll be able to unite this should you qualify for 2009, for the MCC. This may reduce a buyer's tax liability .

Household income means the “gross income of the mortgagor and every other man anticipated to reside in the dwelling who is 18 years of age or older.”

The income and house price limitations that apply in Durham, Orange and Chatham Counties are given below.

MCC Income Limits 1 Man $61,500 2 Persons $61,500 3 Persons $70,500 4 Individuals $70,500

MCC Sales Price Limits New House $220,000 Existing House $210,000

Who Qualifies for Down Payment Assistance?

Home buyers that need help with their deposit and closing prices may be able to get down payment assistance - or, quite simply, interest-free, deferred second mortgages up to $8,000. The purchaser just has to pay $1,000 of their own funds and the load would pay around $8,000 of the remaining balance.

This program has stricter income limits than the MCC plan summarized above. Like the MCC program, it may be used in combination with all the new $8,000 tax credit on house purchases between December 1, 2009 and January 1, 2009. The down payment assistance, nevertheless, cannot be used along with all the MCC. That is an either or scenario.

House price limits that apply in Orange, Durham and Chatham Counties and the income are given below.

Down Payment Assistance Income Limits

1 Person $39,950 2 Persons $45,650 3 Individuals $51,350 4 Men $57,050

Down Payment Assistance Sales Cost Limits New House $210,000 Existing Dwelling $210,000